5 Tips for Marketing Through Daily-Deal Websites

Marketing framing services through daily-deal companies is not for every business, but for those that are thinking about giving it a try, here are a few suggestions. Over the last several years, my shops have used daily-deal marketing to great advantage, and the following list contains some of my company’s success strategies.

Daily-deal websites include Groupon, Amazon Local, and Living Social. These companies promote special discount deals; sell vouchers to their customers; and pay them for the sales, minus commissions and fees. New customers then bring these vouchers to your company. The daily-deal websites collect no money from you upfront. They get paid only if the offer to your customers is successful; if they don’t sell a deal, you pay nothing.

Here are five more things to keep in mind when you first try out a daily deal.

1. BE AWARE OF THE TYPES OF CUSTOMER A DAILY DEAL ATTRACTS
You will attract a few people who want something for nothing. One of the great advantages of these programs is that if customers are unsatisfied with your offer, they can easily return their voucher for a refund. This approach keeps you from getting negative online reviews. Most customers, however, understand what they are buying and are just looking for an incentive to spend money in your shop.

2. KNOW YOUR PRICING
Get a good idea of how much your average customer spends per order. Make sure that the total value of the deal you are making is well below that average. This tactic ensures that the 50-percent-off deal that the daily-deal site presents costs you only about 20 to 25 percent on average. Potential customers don’t see this approach as a trick.
They generally understand that framing is far more expensive than the amount that the deal offers. If they do not
understand this concept and feel that you are overcharging them, suggest that they return the voucher for a refund.
This approach will generally defuse a potentially tense situation and prevent any bad online reviews.

3. CAREFULLY WORD YOUR DEAL
Do not in any way imply that the amount offered will cover an entire framing order unless you are offering a package deal. Offers generally set certain limits, such as “$50 for $100 toward custom framing.” Also be sure to include important specifications, such as “limit: one voucher per frame,” “limit: three vouchers per customer,” and “voucher must be used in its entirety; there will be no refund or credit issued for unused amounts.”

4. GET AS MUCH INFORMATION FROM YOUR NEW CUSTOMER AS POSSIBLE
When customers redeem their vouchers, make sure to get their contact information, especially their email addresses.
Email is a preferred and effective method for these customers to receive future offers from you. Second, most of the
daily-deal sites do not make a repeat offer to the same customer from the same merchant, so it is up to you to bring
that customer back into the shop. Finally, email is the easiest and cheapest way to keep in contact with your customer base.

5. KNOW WHETHER DAILY DEALS ARE NOT FOR YOU
Daily deals may not be the type of marketing that will work with your business model. If your shop cuts margins close so that you can offer your customers the best possible price, you have no room for an advertising budget.
Therefore, this approach is not for you. However, when you use them properly,daily-deal sites can help bring new
customers into your shop. So, if you’re looking for a new marketing strategy, come up with a plan that makes sense for your business and give it a try.

With three Framing Palace locations in Maryland, Ed Gowda has specialized in custom framing for over 25 years. One of his passions is to share information and ideas within the industry. framingpalace.com